Questcor Pharmaceuticals Inc (QCOR), Chesapeake Energy Corporation (CHK), And Post-Earnings Bulls

Conclusion

“Buy stocks after earnings, but do so in a way that feels almost unnatural: Read the report first, and look at the stock second. Then, you can locate the inconsistencies and the illogical differences between fundamentals and trade.” Taking Charge With Value Investing (McGraw-Hill, 2013)

Each of the companies above is by some accounts “controversial”. All have seen volatile periods in performance but the progress seen in the quarters of each company has lead me to be optimistic of the future. While there is no way to predict short-term trading performance, I do believe that each company could very well trade higher over the long-term following strong quarterly performances.

Brian Nichols has no position in any stocks mentioned. The Motley Fool has the following options: Long Jan 2014 $20 Calls on Chesapeake Energy, Long Jan 2014 $30 Calls on Chesapeake Energy, and Short Jan 2014 $15 Puts on Chesapeake Energy.

The article Three “Buys” After Reporting Earnings on Wednesday originally appeared on Fool.com.

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